2022 (1) TMI 113 - AT - Customs

Filing of Export Obligation Discharge Certificate - EPCG Authorisation Scheme - failure to produce such Export Obligation Discharge Certificate (EODC) before the proper officer within the prescribed time limit - HELD THAT - The appellant has received redemption letter for the aforementioned EPCG authorisation, being redemption letter no.05/34/021/00187/AM08 dated 23.10.2019 issued by the office of the Additional Director General of Foreign Trade, New Delhi. The appellant approached the office of the ld. Commissioner (Appeals) by letter dated 2.12.2019, annexing the copy of the Export Obligation Discharge Certificate, but the same could not be considered, as the appeal has already been dismissed earlier. Accordingly, the appellant have filed the present appeal. As the EODC has been issued in the meantime, the dispute no longer exists. EODC categorically states that the appellant have met in full their export obligations - Appeal allowed - decided in favor of appellant.

Summary

Issues:
- Filing of 'Export Obligation Discharge Certificate' with respect to EPCG Authorisation No.0530143767 dated 29.05.2007.

Detailed Analysis:
The appellant imported and cleared capital goods under EPCG Licence subject to fulfilling the Export Obligation and other conditions prescribed in the notification. The appellant was required to produce evidence of fulfilment of Export Obligation through an Export Obligation Discharge Certificate (EODC) within the specified time limit. Failure to produce the EODC led to a show cause notice being issued, resulting in the recovery of customs duty, confiscation of goods, redemption fine, and imposition of penalties under relevant sections of the Customs Act, 1962.

The appellant, being aggrieved, appealed before the Commissioner (Appeals) but could not produce the EODC until the appeal was dismissed. Subsequently, the appellant received the EODC and approached the Commissioner (Appeals) with the document, leading to the filing of the present appeal. The EODC confirmed that the appellant had fulfilled their export obligations in full, resolving the dispute.

Upon considering the EODC issued during the appeal process, the Tribunal found that the appellant had met their export obligations as per the certificate. Consequently, the Tribunal allowed the appeal, set aside the impugned order, and granted the appellant consequential benefits in accordance with the law. The dispute regarding the filing of the EODC was resolved with the issuance of the certificate, leading to a favorable outcome for the appellant.